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A woman takes out a mortgage for $75,000. The mortgage is at 17.5% compounded semi- annually and will be repaid over 20years in equal
A woman takes out a mortgage for $75,000. The mortgage is at 17.5% compounded semi- annually and will be repaid over 20years in equal monthly instalments. i) Create an amortization schedule for the first 4 months. [10 marks] ii) Find the outstanding principal at the beginning of the ninth year. [5 marks] iii) Split the payment at the 200th month into interest and principal portion. [6 marks]
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